optionfarmers

11:48

optionfarmers

Future prices are unknowable and unpredictable. But measuring current conditions and valuations are informative. Tracking vix volatility and using it to make better decisions in my experience has been helpful. Warning: Avoid buying options are generally costly. Options are a form of borrowing money to use leverage provided by an option seller.

09:13

optionfarmers

ARVL stock rocketed 100% today alone. The move might be explained by the fact that the marketcap was trading below "net liquidation value". Net net stocks, or stocks trading below liquidation value, is a strategy used by Benjamin Graham who also taught Warren Buffett how to use the strategy. Small cap stocks and penny stocks are extremely risky. You can and...

19:35

optionfarmers

Even if you never bought an ounce of the shiny yellow rock, Gold can gives us valuable information over time. The fact that gold was literally money for much of the worlds history and that banks still hold should tell you it still matters. Lets discuss gold concepts and make sure we stay aware of how gold has behaved in the past. hope you enjoy the video!

62:22

optionfarmers

checking the ratios and valuations of the market.

03:10

optionfarmers

Vix measures option premium levels and is associated with large fear uncertain times. Bottoms in markets often have high vix level indicating investors desire for protection and large moves in the market.

17:49

optionfarmers

We live in a dollar matrix, a world we can feel but have trouble understanding. We have learned that things go up over time, but we don't know why. Why do things go up and sometimes also go down. Valuation is a lie detector. We should seek truth. Stocks dont always go straight up. Gold is just scare shiny rock. Dollars are debt instruments and promises for...

80:54

optionfarmers

big move in tesla 12% ish and apple almost down 4%

optionfarmers

Every bubble must base. Market manias will never cease to exist, because its a symptom of human behavior. Old buyers will be supply. The stock will bottom when every seller is done selling. Unpopular assets with positive cashflow are better than popular assets with small cashflows. Even a dead cat will bounce. Buy hockey sticks bottoms. 2nd mouse gets the...

optionfarmers

Charts and financials, are great , super useful, would never trade/invest without them. However, they are rear view mirrors, as in they show us only the past. We have no crystal ball. If we go into recession, the past growth will be misleading. keep that in mind. We value the earning power of each business, but we should not ignore that markets are...

14:31

optionfarmers

Ive seen this movie before, and I love thats its playing again. The economy goes through cycles and its rhyming like other times. Its never the same, lets be clear about that. But expensive things get cheaper when the economy slows down because people will need their money for the hard times that may come. Its that simple. Learning to read financial statements...

09:55

optionfarmers

Conceptual view of how to trade non directional or semi directionally using strangles and capped strangles, also known as Jade Lizard option spreads. Non directional option trades attempt to benefit from sideways markets or markets where options are are pricing more implied movement than is realized in the underlying asset. Combing a vertical on top with a...

06:16

optionfarmers

Where is fair value and where is cheap? Price and value are not the same. Price is snapshot of opinion while value is a moving story that changes over time. PE price to earnings is how we gauge value, at least one of the main ways. I like to think of PE in terms of years. How many years of earnings am I paying in advance for this underlying business?. It...

15:16

optionfarmers

lets look at 150 years of stock prices and see how valuation with inflation played out, and apply the "rule of 20" as a guide. The rule of 20 is a benchmark regression that essential says when PEs and cpi inflation are added together they should be under 20 for stocks to be attractive historically. SPX DJI QQQ NASDAQ:NDX GOLD

08:47

optionfarmers

When the growth momentum traders give up on stock, its the value buyers who step in to support a stock. Problem with that is that both groups have widely different opinions on what things are worth. AAPL QQQ IWF TSLA RUT

10:01

optionfarmers

Behavioral Finance explores the concept of why we are wired to make the same mistakes over and over as a species. Recently, I started reading a book called "Popular" by Mitch Prinstein , where he discusses that its in our DNA to helps us survive. We have done better by doing popular things in nature. When we go with the flow of the group and hunt together and...

13:21

optionfarmers

Educational purposes only: if the bear market continues, one tool Im keeping available is bear vertical spreads. I dont want to go straight short the market, and buying high valuation is a no for me. So bear call spread might be worth a shot while waiting for bullish opportunities.

20:00

optionfarmers

If you only have a hammer, everything looks like a nail. Dont be that guy. have many tools to choose from to trade different scenarios and opportunities.

04:58

optionfarmers

Stock indices are mostly flat today but the shiny white metal rockets up 5% plus today? what gives? is the BOJ raising rates to 50bps from 25bps, or is it the dollar weakness that is making silver shine?